Mg and Ma-based alloys are promising hydrogen storage materials for renewable clean energy applications. It has high hydrogen storage capacity (7.6wt.%), lightweight and low economical materials. However, commercial applications of the Mg hydride are currently hindered by its high operating temperature, and very slow reaction kinetics. In this work, we are aimed at studying the hydrogenation properties of the $MgH_x-V_2O_5$ composite prepared by hydrogen induced mechanical alloying. The absorption capacity of the sample is found to be about 4.7wt.% at 623K under 3 MPa $H_2$ pressure. The absorption characteristics observed have been compared with prepared $MgH_x$.